On Thursday, their relationship came full circle as Oracle agreed to acquire NetSuite for $ 9.3 billion to beef up its cloud offerings.
Oracle will pay $ 109 a NetSuite share in cash, according to a news release issued by Oracle on Thursday. That represents a 19 percent premium above NetSuiteâs closing price on Wednesday.
âOracle and NetSuite cloud applications are complementary, and will coexist in the marketplace forever,â Mark Hurd, chief executive of Oracle, said in the statement.
Mr. Ellison, Oracleâs founder and chairman, is one of the most acquisitive software executives in the world, although this transaction is among his largest. Mr. Ellison owns a 27 percent stake in the company and the two companies have partnered in the past on ventures to bring cloud services to smaller businesses.
An Oracle special committee made up of independent directors led the process to sign a deal with NetSuite. The transaction is expected to close in 2016, subject to regulatory approvals and agreement by a majority of NetSuiteâs shareholders, not including shares owned by executives of NetSuite or anyone affiliated with Mr. Ellison.
Shares of NetSuite surged to a level just below the deal price in early trading on Thursday.